Our Grundartangi, Iceland smelter is our largest, most-modern and lowest-cost facility. Grundartangi is 100-percent owned and operated through our wholly owned subsidiary Noršurįl Grundartangi ehf.
Since acquiring the facility in 2004, Nordural has successfully increased the plants rated capacity to 260,000 metric tonnes per year (mtpy). In 2011, Grundartangi produced almost 278,000 metric tonnes of primary aluminum, seven percent above rated capacity. On the horizon is a five-year expansion plan that we hope will enable the facility to produce 50,000 metric tonnes of additional capacity and enhance safety and operational efficiency.
Constructed at a total capital cost of approximately $1 billion and with 2011 net sales of approximately $500 million in product, Grundartangi is one of Iceland's largest industrial facilities. Nordural is vital to Iceland's drive to strengthen its economy and utilize hydroelectric and geothermal resources that can be harnessed to provide an environmentally clean source of sustainable electrical energy.
Employment Approximately 500
Rated Primary Aluminum Capacity
Current rated capacity of 260,000 mtpy
--Began operation in 1998
--520 pre-bake cells
--Imports alumina and anodes
Casthouse casts ingots and sows
Power is supplied from geothermal and hydro sources under various long-term contracts expiring between 2019 and 2036. The power is priced at rates based on the London Metal Exchange (LME) prices for primary aluminum.
Nearly all of the primary aluminum produced at Grundartangi is sold under long-term LME-based tolling agreements. The tolling counterparties provide alumina and receive primary aluminum in return for tolling fees that are based on the LME price of primary aluminum. In 2011, Grundartangi produced approximately 10,500 metric tonnes of primary aluminum outside of tolling agreements.
For information on products made at our Grundartangi facility, click here.